Commodity prices continue to drop. The Bloomberg Commodity Index is now at a 13-year low. Gold, crude oil, base metals and so are ongoing examples of this decline.
One might also add, global trade deals also causes prices drop given weaker labor costs. In addition vast technological improvements improve efficiencies which in turn drive wages lower.
And, on it goes.
But some are arguing this will be a growth story for certain stock sectors like technology, biotechs, banks and even some cyclical growth stories given global advantages in lower costs. In other words the theme for doubters could be “if you can’t beat em’, join em’”.
Markets Monday were mixed as